Treating cybersecurity like any other line item in your budget – like it has nothing to do with your business objectives – may be tempting. But you’ll be short-changing your goals if you do. Forget about cybersecurity as a cost center. Instead, think about it as a value driver. How might this mindset shift change your business development plans? What lucrative but risky markets would you be better prepared to enter? Doors to innovation you’d be ready to fling open? All-new customers you’d be optimistic about winning? With the right cyber protection in place, almost anything becomes possible.
Because in an era of data breaches and ransomware attacks, here’s the truth: Strong cybersecurity is now a solid-gold competitive advantage.
From Cost Center to Growth-Enabler
Perceptions of cybersecurity are reaching a tipping point. According to the World Economic Forum, effective cybersecurity isn’t just risk management. It’s a cornerstone of business resilience and expansion. Even in industries with strict compliance requirements or those operating in high-risk locations, companies that invest in building robust security frameworks are better prepared to seize new opportunities.
Misconceptions About Cybersecurity and Growth
The idea that cybersecurity is a growth inhibitor, a series of roadblocks that complicate processes and slow down business initiatives, is both outdated and dangerous. Yes, a strong security posture safeguards assets, but it also enforces an overall security discipline and rigor that many growing organizations lack. Cybersecurity best practices dictate that you need to regularly evaluate your policies, systems, and processes. Doing so demonstrates operational maturity.
This is part of what makes companies with strong cybersecurity frameworks more appealing to customers, partners, and investors. Today’s stakeholders practice increasingly sophisticated due diligence. They scrutinize cybersecurity measures as part of their decision-making. Organizations with demonstrably robust security measures show they’re prepped and ready for new partnerships, investment opportunities – even more advantageous insurance terms.
Cybersecurity is a competitive advantage for: Compliance
Example: Companies operating in highly regulated industries such as healthcare or finance may be required to comply with frameworks like HIPAA or NIST to even participate in the market. By investing in cybersecurity, these companies show they’re more prepared to maintain compliance, even as those regulations shift.
Using Cybersecurity for Innovation
A mature cybersecurity framework adds fuel to your innovation engine. It enables you to confidently explore new markets and helps you launch new products without worrying about risking your sensitive data or intellectual property. This is especially true if you want to expand into geographies or industries that are considered high-risk from a cybersecurity standpoint.
Cybersecurity is a competitive advantage for: Intellectual Property (IP) protection
Example: A technology firm successfully expands its operations into the Chinese market – a region notorious for intellectual property theft and cyber espionage – by implementing a robust cybersecurity strategy that includes air-gapped systems and stringent access controls. Their proactive approach allows them to protect their core IP while seizing a lucrative opportunity that its competitors are hesitant to pursue.
Think about organizations that compete for contracts in highly commoditized markets, where differentiation is minimal. More and more, companies with a strong security posture are using cybersecurity as a unique selling point (USP). When all else is equal, having a mature cybersecurity program can offer the edge that wins the deal. A McKinsey & Company study found that 52% of B2B purchasers who have stopped doing business with a company who is not protective of customer data. In such cases, cybersecurity becomes a value proposition that both protects and drives revenue.
Building Trust through Cybersecurity
Partners, employees, and customers all need to feel confident that you’re protecting their sensitive data. They’re more informed and have higher expectations regarding data privacy and security. And a robust cybersecurity posture, one that is actively managed and continuously updated, is one of the most effective ways to build necessary trust. According to the same McKinsey study mentioned above, companies that prioritize digital trust are 1.6 times more likely than the global average to see revenue and EBIT growth rates of at least 10 percent.
Cybersecurity is a competitive advantage for: Establishing credibility
Example: As part of its operations, a SaaS provider stores sensitive client data, including proprietary intellectual property and personal information. To win new clients and retain existing ones, the company emphasizes its security certifications, such as ISO 27001, and showcases its commitment to best practices. By providing transparency into its security measures, the company is able to reassure customers that their data is in good hands, turning cybersecurity into a foundation of their sales strategy.
Cybersecurity’s Impact on Employee Confidence
While customer trust is critical, cybersecurity also plays a key role in fostering employee confidence. Your employees want to know your company is capable of protecting sensitive information like social security numbers, compensation details, and other personal data. But beyond that, a strong cybersecurity framework often includes comprehensive training programs that help your employees identify phishing attempts and understand best practices for data handling.
According to 2024 study from Ernst & Young, 53% of employees worry that their organization will be the target of a cyber attack. Interestingly, looking at cybersecurity from a generational perspective, Gen Z workers simultaneously reported doubts about their ability to prevent cyberattacks but also higher levels of cybersecurity knowledge (86% in 2024 compared to 75% in 2022). This disconnect seems to present an opportunity: Leverage Gen Z’s digital fluency through targeted upskilling and training programs in order to transform their theoretical knowledge into practical confidence and skills.
Aligning Cybersecurity with Business Objectives
Integrating cybersecurity into your broader business planning is essential for transforming security from a standalone function into a strategic growth driver. Unfortunately, too often, cybersecurity and IT teams are left out of business strategy discussions, limiting their ability to contribute meaningfully to growth initiatives. To align cybersecurity with business goals, you need to ensure that these teams have a comprehensive understanding of both short-term and long-term business objectives.
Cybersecurity is a competitive advantage for: Achieving Business Goals
Example: A company that’s considering entering a new market engages its cybersecurity team to participate in operational planning discussions. By involving the team early on, they’re better able to anticipate potential threats and ensure that appropriate safeguards are in place. Similarly, another company is planning a new acquisition. They ask their cybersecurity team to conduct thorough due diligence to help uncover hidden risks that could impact the valuation or even the viability of the deal. According to Forrester Research, nearly 53% of companies have canceled or renegotiated acquisitions due to cybersecurity concerns.
Key Metrics for Measuring Cybersecurity’s Business Impact
To effectively communicate the value of cybersecurity to others in your C-suite or board, you need to be able to track metrics that show cybersecurity’s contribution to your business success:
- Revenue from RFPs or contracts won due to your strong security posture
- Reduction in insurance premiums because of improved risk management
- Cost savings from avoiding compliance fines and penalties
- Customer retention rates in high-risk industries
- Employee satisfaction scores, linked to improved security training and awareness
By focusing on these metrics, you can transform cybersecurity from a cost to be minimized into a value-added growth-booster.
Transforming Cybersecurity into a Growth Strategy
To be clear, the days of seeing cybersecurity purely as a defensive measure are over. Instead, promote your strong security posture to enhance your company’s reputation and drive new revenue opportunities – and seize your competitive advantage. For more insights, explore our blog.
Want to learn more? Watch our webinar, “Building Cyber Resilience in the Age of AI-Driven Threats.” The webinar features a fireside chat between Michael Messinger, Shermco CIO; Kris Lahiri, Egnyte CSO, Alex Rose, Secureworks Director of Government Partnerships & CTU Threat Research; and Jason Baron, Coretelligent CIO. Watch now!